Bangkok--20 Mar--SET
The Stock Exchange of Thailand (SET) will list Chememan pcl, Thailand's largest lime and lime-derivative chemicals producer and distributor, on March 21, under the ticker symbol "CMAN". The company has a market capitalization at its initial public offering (IPO) of THB 3.69 billion (approx. USD 115 million).
SET President Kesara Manchusree said that CMAN would list and start trading on the Industrials industry group, Petrochemicals & Chemicals sector. CMAN was considered Thailand's largest lime and lime-derivative chemicals producer and distributor with total installed capacity of approximately 800,000 tons per year.
CMAN was only one company in Thailand that obtained a 25-year mining concession issued by the Department of Primary Industries and Mines, Ministry of Industry (ending June 2040) permitting the operation of limestone mining at Tubkwang quarry, Saraburi province in central Thailand. The company can therefore manage material costs and control quality to cater to a wide range of customers.
CMAN has a paid-up registered capital of THB 960 million, consisting of 720 million existing common shares and 240 million newly issued shares, with a par value of THB 1.00 each. It offered the entire newly issued shares to general public via IPO during March 14 -16, at THB 3.84 each, for a total of THB 921.60 million. Tisco Bank pcl is its financial advisor, while TISCO Securities Co., Ltd. is its underwriter.
CMAN Chief Executive Officer Adisak Lowjun said CMAN has great expertise in lime and lime-derivative chemicals production technology to serve customers in various industries, earning their long-term trust. Listing on SET will strengthen the company's ability to expand business both in Thailand and overseas. The company plans to increase capacity for domestic production, build warehouses and silos to enhance inventory management effectiveness, as well as establishing a joint-venture with a company in India to produce and distribute limestone and lime products in two port cities and industrial estates in India. All these will help expand customer base and operations towards sustainable growth.
CMAN's three major shareholders after the IPO are Group of Srivikorn Group (29.73 percent), Buranachart Co., Ltd. (26.26 percent) and Ungpakorn Group (1.36 percent). The IPO price was determined based on a book building process, equivalent to price-to-earnings (P/E) ratio of 33.72 times calculated by using the company's net profit in the past four quarters (Q1/2017 - Q4/2017) divided by fully diluted shares, representing earnings per share of THB 0.11. CMAN's dividend policy is to pay no less than 40 percent of net profit from the company financial statement, after corporate income tax and legal reserves.
For more information, please see the company's prospectus at the Securities and Exchange Commission's website at www.sec.or.th; and for general information, please visit www.chememan.com , as well as www.set.or.th.